Needing to expand capacity and increase deliverability to itscustomers in Franklin County, MA, Berkshire Gas Co. hassuccessfully petitioned the state’s Energy Facilities Siting Boardfor the rights to build an LNG storage facility in Whatley, MA. Theboard ruled in favor of the $5 million facility last week.Berkshire will begin construction immediately and hopes to have thefacility running by late December.
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Articles from Increase
Dynegy’s May Prices Increase $0.45
The increase in prices is primarily attributable to increased demand for electric generation and storage injections.
Mobil Propagates GOM Success
Using new technology to increase transport speed from thewellhead to the pipeline, Mobil Exploration & Producing U.S.Inc. said it recently commenced selling gas from the newly streamedMobile 822 No. 6 well, in the Gulf of Mexico. The company said theprocess, which took 369 days, was its fastest drill-to-salesoperation to date in the Mobile Bay.
Mobil Propagates Gulf of Mexico Success
Using new technology to increase transport speed from thewellhead to the pipeline, Mobil Exploration & Producing U.S.Inc. said it recently commenced selling gas from the newly streamedMobile 822 No. 6 well, in the Gulf of Mexico. The company said theprocess, which took 369 days, was its fastest drill-to-salesoperation to date in the Mobile Bay.
Regulatory Changes Increase Mexico’s Allure
Removal of a 4% import tariff on natural gas July 1, new openaccess transportation rates and the likelihood that Mexico willbegin privatization of its electric industry this year are makingthe country a more attractive business target for the U.S. energyindustry, and California-based Sempra Energy is taking immediateadvantage of the opening.
Industry Briefs
South Jersey Gas Co. filed a petition with New Jersey’s Board ofPublic Utilities (BPU) to increase eligibility in its customerchoice pilot program from 25,000 to 50,000. The announcement marksthe second time in the past 12 months the utility has increased thesize of its pilot. The BPU has set Dec. 31 as a deadline to definecomplete statewide gas deregulation. South Jersey said 22,000customers have participated in the program. The utility serves260,000 residential, commercial and industrial customers in thestate.
Trading Boosts Barrett’s 1Q99 Results
Barrett Resources was one of the few independent producers ableto emerge from the first quarter with an increase in earningscompared to last year and it achieved the growth through gastrading operations. Revenues from Barrett’s trading division soared136% to $176 million in 1Q99 from 1Q98 and the division reported agross profit of $15.1 million compared to $4.9 million for theprior year first quarter. First quarter trading volumes increased156% to 96 Bcf, or about 1.07 Bcf/d. Barrett reported net income of$7.7 million, or 24 cents per diluted share, compared to $6.2million, or 19 cents per diluted share, for 1Q98.
DOE: Gas Imports Grow for 11th Straight Year
Supported by the largest increase in imported Canadian gas since1995, total natural gas imports rose for the 11th straight year in1998, according to a recent Department of Energy (DOE) report.
Dynegy Adds to SE Power Portfolio
Dynegy is making a reality of its promise to increase its powerasset portfolio in the Southeast by announcing construction plansfor two separate 500 MW facilities in the past seven days. Lastweek, Dynegy announced a local commission approved plans toconstruct a plant in Heard County, GA. Yesterday, the company saidit gained approval from a local court to build the BluegrassGeneration facility in Oldham County, KY. With the Kentuckyfacility, Dynegy will own or have interest in five power plants inthe Southeast.
January Futures Buck Bearish Trend With Friday Increase
After briefly testing the downside early Friday, January futuresclawed their way higher and briefly broached the $2.00 level in theafternoon. But a late selloff ensued, which chased prices back downto settle at $1.978, a 1.9 cent gain for the day. Estimated volumewas 72,807.